Kuala Lumpur: The Federal government will continue to subsidise rural air services (RAS) in Sarawak and Sabah following the Sarawak Government taking over the ownership of the service operator, MASwings Sdn Bhd, said Transport Minister Anthony Loke. He stated that the RAS is a Federal government obligation, and this commitment had been further reflected through a memorandum of understanding signed on October 27, 2023.

According to BERNAMA News Agency, the Federal and the Sarawak Government have signed a memorandum to state their commitment. In the event of the Sarawak government taking over MASwings, the financial subsidy and financial commitment every year for rural service will be continued to the new airline. This assurance was made clear during the signing ceremony for the sale and purchase agreement of MASwings between the Sarawak government and Malaysia Aviation Group (MAG).

The Federal Government had allocated RM209 million for the RAS in Sarawak and Sabah for this year. Loke expressed confidence that the new owner, the Sarawak government, would enhance the RAS services and provide better connectivity to Sarawakians and Sabahans in the rural areas.